Voltalia Receives 170 Million Euro Sustainable Development Loan

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July 1 (Renewables Now) – French renewable energy producer Voltalia (EPA: MLVLT) received € 170 million ($ 201.3 million) in syndicated debt financing linked to environmental, social and corporate governance (ESG) criteria.

Thanks to the new debt, Voltalia’s total available credit line reached 350 million euros. The French company said Wednesday it will use the money to increase its financial flexibility and pre-finance the construction of new power plants before funding for the project is exhausted. Accordingly, the average maturity of the company’s existing debt will grow.

The five-year loan consists of a revolving line of credit equal to two-thirds of the total cost, plus a term loan that can be used for two years. It contains an oscillating line sub-limit and an accordion option for raising the amount of debt during the contract period. The interest rate will depend on ESG Voltalia’s performance as well as business conduct and ethics as well as health and safety performance.

BNP Paribas, Natixis and Santander were the designated arrangers and bookrunners of the deal, while CACIB and Credit Agricole Nord de France acted as lead arrangers.

(€ 1.0 = US $ 1.184)



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